Ministry to cut licenses to only 10

The Ministry of Energy and Mineral Resources said on Monday it will continue to simplify its licensing system, seeking to cut the number of licenses from 89 at present to only ten this year.

?We have agreed to cut the number of licenses to only ten (this year). This is in line with the President?s instruction to continue simplifying licenses,? Minister of Energy and Mineral Resources Sudirman said said over the weekend during the signing of the ministry?s 2016 service and goods procurement contracts.

The ten licenses consist of three for the oil and gas sector, three for mineral and coal sector, three for power sector, one for renewable energy sector, he said.

The three licenses for the oil and gas sector are one, license for upstream business, second, license for downstream business and third, license for service business.

Sudirman explained until 2015, licenses that investors needed to obtain from the ministry numbered 218. It was later reduced to 89. Of the 89 licenses, 63 has been delivered to the one-stop licensing service at the National Investment Coordinating Board (BKPM) for handling.

Editing by Johannes Simbolon